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Agreement expires on Esso and Tim Hortons development

Despite significant work by both parties, the next step in the agreement was not met before the renewal limit of the PSA was reached in Esso, Tim Hortons development.

The purchase and sale agreement on the land that was to have been an Esso and Tim Hortons on Highway 3 has fallen through.

The City of Grand Forks noted on Tuesday that, after two extensions, the purchase and sale agreement (PSA) on the parcel of land expected to be an Esso and Tim Hortons has expired.

“Despite significant work by both parties, the next step in the agreement was not met before the renewal limit of the PSA was reached,” said City of Grand Forks communications officer Cavan Gates in a press release.

“Finalizing the access agreement with the Ministry of Transportation and Infrastructure was the next step in the process but the developer chose not to pursue it.”

Other steps in the development process included a works and services agreement and drawings showing the form and character of the proposed buildings, said Gates.

“The property remains for sale,” he said.

The Tim Hortons/Esso development was slated for a corner of the Highway 3 and 27th Street intersection. There was a “consideration of improvements” to the intersection, and potential arrangements for tendering and construction management were still in play.

On May 30, 2016 a request for decision on a development permit for the project was granted by city council, conditional on an access permit being issued by MOTI.

A subsequent traffic impact study was done by a consultant for the developer, along with preliminary planning and engineering for highway access.

Through that process it was determined that the Ministry of Transportation also needed to do an upgrade at 27th Street.

“So it complicated this process a little bit because the Ministry of Highways, they like to do things right, and safety is their number one concern.”

The project is currently undergoing a detailed design for a highway access permit, as well as options for tendering highway and 27th Street intersection construction jointly between MOTI and the developer.

Gates noted that the city operates with provincial standard practice when it comes to development procedures.

“When a developer approaches the city, they initiate the process with an application,” he said, noting checks with development permit areas, zoning or the intended use of the property are done.

However, not all of the onus is on the city for evaluating the application. Parts of the application sometimes have to be approved by the province, especially for subdivisions or for properties near the highway.